The Joint Design Manufacturing (JDM) model could be a key for EMS companies seeking business in aerospace, defense and homeland security, according to Jeff Kaylor, director of government services for Sparton Corp., Jackson, Mich., a mid-tier EMS company with manufacturing facilities in North America and Vietnam.

In an interview with Charlie Barnhart, a Technology Forecasters Senior Consultant, Kaylor shares this and other tips on how to gain traction in aerospace, defense and homeland security. Sparton has engaged in defense contracting and subcontracting since 1914, and electronics manufacturing for nearly two decades. The 15 minute interview is available on a podcast.

In the JDM model, an EMS company or ODM typically does some portion of the design and then manufactures the product. This allows the OEM (primary contractor in defense lingo) to focus design resources on the more consequential IP in the product, while the JDM partner handles the routine design elements and supports the manufacturing ramp-to-volume.

Kaylor says the model is gaining popularity in defense contracting, which has undergone a substantial amount of consolidation in recent years, leaving what he calls “gaps” in the design chain — an opportunity for JDM services offered by companies like Sparton.

As TFI found in research conducted last year, aerospace, defense and homeland security are increasingly moving to outsourced manufacturing. While this sector’s migration to outsourcing will continue to be gradual, it represents new opportunity for EMS companies flexible enough to meet the sector’s demands.

And design is definitely something the sector is looking for, Kaylor says. For other insights from Sparton’s experience, be sure to check out the podcast, and let us know what you think by writing a post here.

Posted by Bill Roberts, January 18th, 2008

Filed to Outsourcing

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